FLAWED REAL ESTATE STRATEGIES 4/4: PUBLIC AUCTION – BUYERS

While the public auction method certainly costs the seller both financially and emotionally, the buyer is also deceived. Transparency only applies on auction day. During the lead up to a public auction, the lack of transparency of the process makes it difficult for the property buyer. Every weekend, Australian buyers are placed in this position, convinced by agents to spend valuable resources on a...

FLAWED REAL ESTATE STRATEGIES 3/4: PUBLIC AUCTION – SELLERS

Public auction is the most deceptive method used to sell property in Australia. For the agent, public auctions are all about advertising revenue and personal profile. Public auctions are promoted widely throughout the real estate industry and major media organisations. You can’t have a public auction without the significant spend that accompanies it – namely the vendor-paid marketing...

FLAWED REAL ESTATE STRATEGIES 2/4: NO-PRICE STRATEGIES

‘No-price’ strategies include ‘for sale by negotiation’, ‘for sale by tender’ and ‘auction’. Most real estate advertising websites also offer a ‘contact agent’ option. The effect of no price marketing on buyer enquiry is heavily influenced by market conditions. In a stable or falling market where supply outstrips demand, enquiry is generally lower with no price marketing. If a...

FLAWED REAL ESTATE STRATEGIES 1/4: FALSE PRICE STRATEGIES

False price strategies include both the ‘offers above’ method (illegal in some states) and any of the price-range strategies. There are many variations of these strategies: ‘offers from $500 000-plus’, ‘offers above’, ‘offers between’, price range or even price indication. All variations work on the assumption that the owner may not accept the lowest price quoted but will consider a figure...

AGENTS LOVE THAT SELLERS PAY FOR LARGE ADVERTISEMENTS WITH THEIR NAME ON IT: THE COST OF ADVERTISING 2/3

Marketing is not cheap. That’s why so many property advertisements have agents’ faces and agent names so predominantly displayed. If agents’ marketing costs can be subsidised by sellers, why not? Although the house is advertised, agents are also marketing themselves to other potential sellers. One major website will not allow agents to have their name displayed on an advertisement unless it is...

UPGRADED ONLINE PROPERTY ADVERTISEMENTS ARE A WIN FOR THE AGENT, NOT FOR THE SELLER: THE COST OF ADVERTISING 1/3

The real estate industry has convinced itself and the marketplace that the more exposure a property gets during the sales process, the better the outcome. Paying for exposure through expensive advertising presents two dangers: the loss of any upfront monies paid and the real responsibility of an eventual lower selling price. The Real Estate Institute of Queensland website states: “It is no secret...

Compare listings

Compare